Rwanda witnessed a decline in unemployment rate in the first quarter of 2024, according to the latest Rwanda Labour Force Survey.
The survey, released in May by the National Institute of Statistics of Rwanda (NISR) indicates that the unemployment rate decreased by 4.3 percentage points compared to the same period last year.
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"This remarkable improvement has brought the unemployment rate back to the pre-Covid-19 estimate of 13.1%. In 2024 (Q1), the unemployment rate stood at 12.9%, indicating a positive trend where approximately one person was unemployed for every eight in the labor force," reads a related NISR statement.
As noted, gender disparities persist in unemployment, with females experiencing a higher rate at 14.5% compared to males at 11.5%. Furthermore, it is noted, youth face a notably higher unemployment rate of 16.6% compared to adults at 10.3%. Urban areas also bear a heavier burden with an unemployment rate of 14% compared to rural areas at 12.3%.
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"Despite these challenges, there is progress in narrowing the gender gap in unemployment, which was recorded at 3 percentage points in 2024(Q1), showing improvement from 3.7 percentage points in the same quarter last year. This data underscores the need for targeted interventions to address unemployment disparities across demographics and regions, ensuring inclusive economic growth and opportunities for all Rwandans."
562,000 jobs created
In absolute numbers, a total of 562,000 jobs were created in the first three months of 2024, the survey indicates.
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James Byiringiro, the Survey Program Manager at NISR, said that this "significant decrease" is attributed to various factors, including a surge in employment opportunities across multiple sectors.
Sectors that recorded a positive trend include infrastructure, agriculture, mining, and financial services.
"Investments in infrastructure, especially in transportation, were crucial in increasing job opportunities. The introduction of more vehicles for public transport led to the creation of additional employment opportunities for (many people)," he said.
"The agriculture sector, in particular, witnessed a remarkable increase of 16 per cent, nearly three times higher than the previous year's growth rate. This surge can be linked to the expansion of agricultural areas, especially in Eastern Province, and a renewed emphasis on maximising the potential of previously uncultivated land."
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Byiringiro said that the mining and quarrying sector experienced a notable growth rate of 49 per cent, where new mine areas were discovered and this generally created job opportunities for many people.
Storage saw a "commendable" increase of 34 per cent in employment opportunities, he added, highlighting the impact of the logistics industry in general, and the increase in the number of warehouses in particular.
"The education sector also made significant strides, with a 39 per cent increase in employment, driven primarily by the hiring of primary and pre-primary teachers for the current school year," he said.
Financial services witnessed a growth rate of 30 per cent, with mobile money agents playing a big role in this improvement. Banking institutions also made notable contribution, Byiringiro noted.
The accommodation and food services sector saw a commendable rise of 22 per cent in job opportunities, according to the survey, citing new restaurants, hotels and bars among key contributors.
"Overall, the latest labour force survey paints a promising picture of Rwanda's economic landscape, with tangible improvements in employment rates and a diverse array of sectors driving growth," Byiringiro said.
"As the country continues to prioritise investments in key sectors, (such as infrastructure), the outlook for job-seekers appears increasingly optimistic, paving the way for sustained economic prosperity and inclusive growth."
